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Lululemon Athletica founder Chip Wilson said Monday he has launched a proxy fight by nominating three independent directors to the board, days after the Canadian apparel maker announced the departure of CEO Calvin McDonald.
Lululemon is struggling to find its footing among young and affluent shoppers amid stiff competition from fast-growing new rivals like Alo Yoga and Vuori and pressure from activist investor Elliott Management.
Wilson nominated three director candidates to Lululemon's board, including former On Running co-CEO Mark Maurer, former ESPN CMO Laura Gentile and former Activision CEO Eric Hirshberg.
“The recent CEO succession announcement marks the third complete failure of board oversight without a clear succession plan. Shareholders do not believe this board can select and support the next CEO without the input of a board with stronger product experience,” Wilson said in a statement.
Earlier this month, the company said McDonald would step down in January, joining a long list of leadership changes at global consumer companies and retailers.
Lululemon did not immediately respond to a Reuters request for comment. The Wall Street Journal was the first to report this.
